IRS warns of phone scam

The IRS is warning people to be careful of a phone scam targeting people across the country.

The most common targets appear to be recent immigrants.

The IRS says victims are told they owe money and it must be paid immediately through a pre-loaded debit card or wire transfer. If the victim refuses to cooperate, they are then threatened with arrest, deportation or suspension of a business or driverâ??s license. In many cases, the caller becomes hostile and insulting.

â??This scam has hit taxpayers in nearly every state in the country. We want to educate taxpayers so they can help protect themselves. Rest assured, we do not and will not ask for credit card numbers over the phone, nor request a pre-paid debit card or wire transfer,â?? says IRS Acting Commissioner Danny Werfel. â??If someone unexpectedly calls claiming to be from the IRS and threatens police arrest, deportation or license revocation if you donâ??t pay immediately, that is a sign that it really isnâ??t the IRS calling.â??

The IRS says the agencyâ??s first contact with taxpayers on a tax issue is likely to occur via mail.

Other characteristics of this scam include:

- Scammers use fake names and IRS badge numbers. They generally use common names and surnames to identify themselves.

- Scammers may be able to recite the last four digits of a victimâ??s Social Security Number.

- Scammers spoof the IRS toll-free number on caller ID to make it appear that itâ??s the IRS calling.

- Scammers sometimes send bogus IRS emails to some victims to support their bogus calls.

- Victims hear background noise of other calls being conducted to mimic a call site.

- After threatening victims with jail time or driverâ??s license revocation, scammers hang up and others soon call back pretending to be from the local police or DMV, and the caller ID supports their claim.

If you get a phone call from someone claiming to be from the IRS, hereâ??s what you should do:

- If you know you owe taxes or you think you might owe taxes, call the IRS at 800-829-1040. The IRS employees at that line can help you with a payment issue â?? if there really is such an issue.

- If you know you donâ??t owe taxes or have no reason to think that you owe any taxes (for example, youâ??ve never received a bill or the caller made some bogus threats as described above), then call and report the incident to theTreasury Inspector General for Tax Administration at 800-366-4484.

- If youâ??ve been targeted by this scam, you should also contact the Federal Trade Commission and use their FTC complaint Assistant at Please add "IRS Telephone Scam" to the comments of your complaint.

Taxpayers should be aware that there are other unrelated scams (such as a lottery sweepstakes) and solicitations (such as debt relief) that fraudulently claim to be from the IRS.

The IRS encourages taxpayers to be vigilant against phone and email scams that use the IRS as a lure. The IRS does not initiate contact with taxpayers by email to request personal or financial information. This includes any type of electronic communication, such as text messages and social media channels. The IRS also does not ask for PINs, passwords or similar confidential access information for credit card, bank or other financial accounts. Recipients should not open any attachments or click on any links contained in the message.